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Battery maker Eveready Industries Ltd on Friday said that it is raising prices of its products by up to 10% due to surging input costs, reports PTI.
The company said that rising zinc cost, a key raw material for manufacturing batteries, coupled with the excise duty hike in Budget 2010 are the main factors for increasing battery prices.
"Over the past four-five months, there has been a continuous upward climb in zinc prices, which has adversely impacted the manufacturing cost of carbon zinc batteries," Eveready Industries vice chairman and managing director Deepal Khaitan said in a statement.
Besides, the product segment had to bear 2% hike in excise duty to 10% from 8% made in the Union Budget 2010, the company said.
"These (factors) have left us with very little option but to pass on a part of the increase in the costs to the market. We are also increasing the maximum retail price (MRP) of all types of batteries by 5% to 10% with immediate effect," he said.
Eveready sells around 1.2 billion batteries annually. Besides dry cell batteries, the company offers household items like torches, rechargeable batteries, CFL lamps, packet tea and mosquito repellents.